Why UBS is a World Leader in Sustainable Finance

Sustainability is no easy feat, but this is particularly magnified when financed emissions are at play.
As one of the world’s leading asset managers, UBS is partnering with its clients to support them in mobilising capital for a more sustainable world and aims to lead by example.
The firm’s range of initiatives across ESG have led to global recognition in the Dow Jones Sustainability Index and an AA rating from MSCI.
Michael Baldinger, Chief Sustainability Officer at UBS, says: “I’m proud that two key annual ratings have reconfirmed UBS’s leading position in sustainability.
“These scores represent our first fully consolidated ESG ratings post-acquisition as we remain committed to shaping a more sustainable future.”
About UBS
UBS dates back to 1862 when the Bank in Winterthur was founded. In 1912, it merged with Toggenburger Bank to form Union Bank of Switzerland.
By 1920, it had 2,000 employees and more than US$1bn in total assets.
In March 2023, UBS agreed to purchase Credit Suisse and the acquisition was completed in June of that year.
The firm’s 2023 annual report shows net profit of US$27.8bn
“2023 was a defining moment in the 162-year history of UBS,” said Colm Kelleher, Chairman at UBS.
“The acquisition of Credit Suisse was momentous as the first-ever combination of two global systemically important financial institutions.
“Thanks to our strategy focused on delivering outstanding client services, sustainable profitability, financial strength and sound risk management, we were able to answer the call to help stabilise the financial system at home and abroad.”
Sustainability strategy at UBS
UBS’ 2023 Sustainability Report reads: “We all have a role to play in securing a more sustainable world, and the financial industry is no exception.
“At UBS, we reimagine the power of people and capital to create a better world for everyone, striving toward a fairer society, a more prosperous economy and a healthier environment.”
Throughout 2023, the firm increased its invested assets in sustainable investments to US$292.3bn, an increase from US$2.66bn in 2022.
By 2030, it aims to reduce emissions intensity associated with UBS in-scope lending by 48% in Swiss commercial real estate and 60% in power generation.
UBS also aims to reduce absolute financed emissions associated with in-scope lending for fossil fuels by 70% by 2030 from 2021 levels.
It increased its percentage of women in Director level and higher roles worldwide to 29.5%, just 0.5% away from its 2025 goal of 30%.
Michael Baldinger, UBS’ CSO
Michael Baldinger is Chief Sustainability Officer at UBS, responsible for setting and driving the implementation of its sustainability strategy.
He became UBS’ first Chief Sustainability Officer in 2021.
In 2011, he was appointed CEO at RobecoSAM, the specialist sustainability asset manager behind the Dow Jones Sustainability World Index.
He joined UBS in 2016 as Head of Sustainable and Impact Investing.
Explore the latest edition of Sustainability Magazine and be part of the conversation at our global conference series, Sustainability LIVE.
Discover all our upcoming events and secure your tickets today.
Sustainability Magazine is a BizClik brand